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24 Feb, 2026
Indian pharmaceutical environment has changed immensely and transformed into an international pharmacy. The collaborative model of outsourcing is one of the most important engines that contribute to this growth. Firms are changing their mind to avoid the huge capital expenditure of establishing their own units and are instead engaging in strategic alliances. This blog will discuss the complex dynamics of Third Party Manufacturing Pharma, its increasing role in the Indian market and how these partnerships are brought into existence step by step.
It is a business model in which a pharmaceutical organization hires a special unit of manufacturing to produce its drugs. Under this model, the owner of the brand offers product specifications, formulations and branding information and the manufacturer takes charge of the whole production process, including sourcing raw materials and final packaging.
This type of system is especially advantageous to marketing-oriented companies that do not want to spend the money on land, equipment, and labor and develop their product range. By using it the business will be able to have high quality production with certified facilities (WHO-GMP or ISO) and concentrate the internal resources on distribution, research and sales.
India has been the choice of business to outsource contract manufacturing, as labor is cheap, raw materials are more than enough and there is a high adherence to international safety measures. It is a systematic process, which is aimed at transparency and quality at all levels.
The first step is where the brand owner is the one who determines the kind of products they want to introduce. Regardless of the type of tablets, capsules, injectables and syrups, final decisions on the exact salt compositions and dosages are made.
When the list of the products is shared, the manufacturer quotes. These are the price of raw materials, production expenses, packing and taxes. In the case of Third Party Manufacturing Pharma, it is essential to balance between pricing and quality in the long-run to achieve success.
Some of the documents are required to ensure that the standards of law and safety are maintained. This usually includes:
Pharmaceutical products require an aesthetic value to be successful in the market. The artwork, logo, and color schemes of the foils, cartons, and labels are given by the brand owner. The manufacturer makes sure that all the statutory information is printed correctly.
This is the core stage. The producer obtains active pharmaceutical ingredients (APIs) and starts the manufacturing. Quality checks are done in in-house laboratories to guarantee that the final product is of the necessary efficacy and safety standards.
Once the products are tested in terms of quality, they are packed and sent to a specific destination of the brand owner.
There are several strategic benefits behind the move to Third Party Manufacturing Pharma:
The Third Party Manufacturing Pharma model is not just a normal outsourcing. This type of partnership is seen to complement the quality-driven production with the strong marketing networks to facilitate affordable healthcare at Sencare Life Sciences. The work of its ISO 9001:2015, WHO-GMP, and GLP compliance helps support its work in PCD Pharma Franchise, Third Party Manufacturing, and Packaging Services, with a broad range of advanced antibiotics and healthcare products.
India has competitive prices of raw materials, manufacturing facilities and the labor is cheap and of world standards.
Seek the WHO-GMP and ISO 9001:2015 and GLP certification to guarantee high standards of safety and quality.
It reduces the cost of production and hence makes high-quality life-saving medicines affordable to the general population.
Distribution rights are involved in PCD, whereas Third Party is only interested in production of your brands.
